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SOURCE: GTM Research, Solar Energy Industries Association

Automated software systems can supercharge energy • Condensing boilers, which can achieve efficiency as
savings by using computer intelligence to optimize high as 98%. On-demand water heaters or tankless
building start-up time, adjust dozens of system set points natural gas units can yield 25% savings compared to
every 30 seconds based on real-time comfort needs conventional domestic hot water systems.
and detect and eliminate anomalous usage such as
after-hours. • Double- or triple-pane glass with insulating gas (argon
or krypton) and increased roof insulation.
HVAC optimization systems are often designed for
buildings 150,000 sq. ft. and up, but smaller properties Whether or not an asset eventually leaves the grid, such
and spaces can also generate substantial energy steps are clearly healthy for NOI. A U.S. Department of
savings. Smart thermostats managed remotely through Energy study released in May 2017 found that operating
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cloud-based software and automatically adjusted using expenses at green properties were 17.6% lower than at
smart algorithms yield significant savings with low conventional properties. In an equally compelling finding,
implementation costs. the DOE study found that the positive effects extended to
fundamentals: 6.2% higher occupancy, 4.3% higher rent per
Building engineers can further drive down costs by installing square foot, 8.4% higher market value, 28.8% higher NOI,
modern and efficient products that tie into the overall and a 6.9% per square foot reduction in rent concessions.
building automation system. Energy-saving steps that can
be taken at the property and portfolio-levels include: Energy Management Software at Work
Results from individual properties demonstrate the value
• Controls that adjust lighting levels in response to of well-executed energy efficiency strategies. The recent
daylight, which can generate 40% to 60% savings. upgrade of a 1.9 million-square-foot, 54-story commercial
Sensors can be installed inside or outside the space office building in New York City, NY provides a good
and connected to a main control system. example.

2 Cloutier, Deborah; Hosseini, Farshid; and White, Andrew. “Utilizing Commercial Real Estate Owner and Investor Data to Analyze the Financial
Performance of Energy Efficient, High Performance Office Buildings,” www.energy.gov, May 2017, www.energy.gov/sites/prod/files/2017/05/
f34/bto_PilotResearchStudy-DOEFinancialDataInitiative_5-8-17.pdf

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